Image Alternative Description
Buying property in the UK can be a straightforward process, open to both UK residents and overseas investors. This guide aims to provide basic information on the steps involved in purchasing a property in the UK.
Please note when buying an off-plan/brand new property direct from the developer, and buying a pre-owned property, there are minor differences in the buying process. Speak to our team to learn more.
Step 1: Determine Your Budget
It is important to understand your budget and consider the all costs involved in buying a property in the UK. These costs will include stamp duty land tax, legal fees, surveyor/valuation charges, mortgage broker fees, mortgage arrangement fees, and furnishing costs.
Step 2: Arrange Mortgage
If you need to borrow a mortgage, it is recommended that you consult your mortgage lender or your mortgage broker. If you are unsure how to begin the mortgage process, feel free to speak to us so we can pint you to the right direction.
Step 3: Narrow Down Your Requirements
Identify the city/town where you want to buy a property, the number of bedrooms and bathrooms that you need, and any specific facilities or features you desire, such as concierge services or parking. Decide whether you prefer a house or an apartment, and whether you want to buy a brand new property off-plan or an older property.
Step 4: Search for a Property
Once you have narrowed down your requirements, you can start searching for properties that match your criteria. You can work with a real estate agent who will provide you with suitable options and arrange viewings for you.
Step 5: Make an Offer
When you find a property you want to buy, you can make an offer to the seller via the estate agent. Sometimes, agents will request buyers to demonstrate that they are able to proceed with the purchase by providing proof of the deposit money and the mortgage lenders approval in principle.
Step 6: Offer Agreed
Once your offer is accepted, the estate agent will prepare a Memorandum of Sale (a summary of the terms of the purchase) to send out to all parties involved, including the buyer and seller, and their respective solicitors.
Step 7: Instruct a Solicitor
Once your offer is accepted and the sale agreed, you will need to instruct an UK solicitor to handle the conveyancing process. There are many conveyancing solicitor in UK. Feel free to speak to us if you need any recommendations.
Step 8: Conveyancing Process
During the conveyancing process, your solicitor will review the seller’s title, raise any necessary enquiries, request local searches, and agree on a date for the exchange of contracts. Your solicitor will work with you and negotiate on your behalf throughout this process. However, expect the whole process to take around 3 to 5 months if you are buying a pre-owned property.
Step 9: Valuation/Survey and Mortgage Offer
If you are obtaining a mortgage, your bank will instruct a surveyor to conduct a valuation of the property. You may also choose to have a separate survey (usually a structural survey) done to check the property’s condition. Once the valuation and survey are completed, your bank will issue a formal mortgage offer.
Special note: HK vs UK
Please note the conveyance process of buying a property is different from Hong Kong and the UK. In Hong Kong, once the sale is agreed between both parties, it is common a small deposit is placed and a provisional sale and purchase agreement is signed on the same day. In addition, a date is fixed for the completion of the whole transaction.
In UK, the conveyance process is different to HK, but feel free to speak to us so we can share more.
Summary:
